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©2015, 3E Company, All Rights Reserved
Domestic EH&S Regulatory Updates
James C. Lee Senior Regulatory Analyst
May 20, 2015
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Agenda
I. TSCA Reform Updates
II. Proposed Changes to Cal Prop 65
III. Notable State and Local Laws
IV. HCS 2012 Update
V. Canadian Adoption of GHS
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Toxic Substances Control Act
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TSCA Reform
What When
First Bipartisan Senate Bill (Chemical Safety Improvement Act)
May 22, 2013
House Bill (Chemicals in Commerce Act) Feb. 27, 2014
Sen. Boxer’s Draft Sep. 19, 2014
Compromise Bipartisan Senate Bill (Frank R. Lautenberg Chemical Safety for the 21st Century Act)
Mar. 10, 2015
Bipartisan House Bill (passed in the subcommittee) May 14, 2015
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Points of Contention
• Federal preemption
• Confidential business information (CBI)
• Prioritization of assessment
• Disclosure/reporting requirements
• EPA’s authority to restrict/ban
• Who pays?
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TSCA Reform
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What’s Next in 2015?
- Senate bill on the floor?
- House bill from subcommittee to
full committee discussion
- Congress takes a break in August
- 2016 is an election year
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TSCA Reform
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Hazard Communication
Standard 2012
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HazCom 2012 Deadlines
Manufacturer / Importer
Distributor Employer
June 1, 2015
Dec. 31, 2013
June 1, 2016
Dec. 1, 2015
2013 2015 2016
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June 1, 2015 effective date - Chemical manufacturers, importers, distributors and employers must be in compliance with all modified provisions of the HCS. - Includes product formulators
- Will you be ready on June 2, 2015?
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HazCom 2012 Deadlines
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Notable Guidance
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Memo on HCS June 1, 2015 enforcement (Feb. 9, 2015)
• Hypo:
- I am a product formulator or producer of mixtures. I am waiting on my individual ingredient suppliers in order to author SDSs and labels. What do I do if I cannot author SDSs and labels by June 1st because of their delay?
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• OSHA answer:
- June 1st date has not changed
- “Reasonable diligence” and “good faith efforts”
- “Enforcement discretion”
- Use HCS 1994 until…
Notable Guidance
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• OSHA answer (cont’d):
SDS Label Distributor
Within 6 months after receiving all hazard information for the ingredients, HazCom 2012 SDS must be prepared.
Within 6 months after creating the HazCom 2012 SDS, compliant labels must be created.
Distributors have until Dec. 1, 2017 in the limited situation.
Notable Guidance
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Top 5 Most Frequently Cited OSHA Standards
1. Fall Protection (1926.501)
2. Hazard Communication (1910.1200)
3. Scaffolding (1926.451)
4. Respiratory protection (1910.134)
5. Electrical, wiring methods (1910.305)
Inspections
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What can be expected?
• Preventative/proactive philosophy instead of reactive
• May prioritize inspections based on complaints, past violations, and size
• Review the past 5 years of employers’ OSHA enforcement records
• Treat workplaces in a corporate family as one workplace
• New Field Operations Manual for CSHOs
Inspections
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How to prepare for HazCom inspection
Audit written hazard communication program
Review OSHA’s Field Operations Manual
Train and educate all employees
Check SDSs and labels (shipped container and workplace labels) against the inventory
Check for exemptions
Make sure all the necessary docs/records are available
Think beyond a single facility
Conduct a mock inspection
Inspections
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California Proposition 65
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Prop 65: Basics
The Safe Drinking Water and Toxic
Enforcement Act of 1986 (Proposition 65)
• Notify Californians about exposure to chemicals known
to cause cancer or reproductive toxicity
– Provide a “clear and reasonable” warning before
“knowingly and intentionally” exposing a person to a
listed chemical
• Prohibits discharging into drinking water
[then on Jan. 12, 2015] 17
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Key Changes Proposed (1/2)
•Use of the word “WARNING” in bold
• Includes toxic hazard pictograms on certain products –
yellow triangle and exclamation symbol (not GHS
symbol)
• Disclosure of specific chemicals by name on the label
(12 chemicals proposed – “the dirty dozen”)
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The 12 chemicals
• Acrylamide
• Arsenic
• Benzene
• Cadmium
• Carbon Monoxide
• Chlorinate Tris
• Formaldehyde
• Hexavalent Chromium
• Lead
• Mercury
• Methylene Chloride
• Phthalates
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Key Changes Proposed (2/2)
• Link to agency website – provides
more info www.P65Warnings.ca.gov/product
• Format, content and size requirements
• Specified wording
• Specific requirements for certain products
• Yes/No vs. Content of Label
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Where are we now?
• Hearing on March 25, 2015
- 55/60 comments opposed the amendment
• If ultimately passed:
– All products subject to the law will need to be re-labeled
– All warnings will need to be redesigned and reworded
– Additional information to be provided to OEHHA
• Two year transition period after adoption
• AB 543 (Feb. 23) stalled in committee
• Outcome uncertain
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Other State and Local Chemical Control Laws
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Calif. Safer Consumer Products
• Safer Consumer Products Regulations (effective Oct. 1, 2013)
• Initial Priority Products (PP) in Mar. 2014 i) Spray polyurethane foam (SPF) with unreacted diisocyanates
ii) Children’s foam padded sleeping products with TDCPP
iii) Paint and varnish strippers, and surface cleaners with methylene chloride
• Final PP Work Plan for the next 3 years published (Apr. 17, 2015)
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• Vermont - 78 chemicals of high concern to children (adopted
June 2014; effective July 2016)
• Maine - Priority chemicals in children’s products (June 2014)
• Minnesota - Formaldehyde ban in children’s products (Effective
Aug. 2014 for manufacturers) - Banned triclosan (May 2014)
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Other states
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• California - Bans plastic bags (Effective Jul. 2015)
• Illinois - Bans micro-beads (Effective Dec. 2017)
• New York - Adds TDCPP to the Tris ban (Effective Dec. 2015)
• Albany County, New York - Bans 7 chemicals from children’s products (Jan. 7,
2015) 25
Other states
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• Hazardous Products Regulations; WHMIS 2015 • Effective Feb. 11, 2015 • Major deadline: June 1, 2017 • Based on the 5th Rev. GHS and U.S. HCS • Bilingual GHS label/SDS • 3 year SDS revision requirement repealed*
*For new SDSs – Not WHMIS MSDSs
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Canadian GHS Adoption
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Global EHS Regulatory Trends UpdateNAEM 2015 EHS Compliance Conference
Presented By:
Eric Wu, PEAntea Group
IntroductionGLOBAL EHS REGULATORY UPDATES
Global EHS Regulations
are constantly evolving.
Global Regulatory UpdatesGLOBAL EHS REGULATORY UPDATES
Latin America
China
India
Europe
Asia-PacificAfrica
Regional Updates
Country Updates
Europe Regulatory UpdatesGLOBAL EHS REGULATORY UPDATES
Aerosol Containersaerosol products placed on the market must be labelled or relabeled in accordance with the regulatory amendments (MSBFS 2014:1)
Updated Hazard StatementsClassification, labelling and Packaging (CLP) lists of hazard and precautionary statements have been added (H229, H230 and H231) and one has been removed (EUH006).
Changes in the Waste RegulationDocument of annual hazardous waste amount and disposal. Transport permit of hazardous waste (10 tons or 50 CM annually)
Germany Sweden
Federal Ordinance on Industrial Health & Safety New version from 1st June 2015
Risk Assessment, Machine & Equipment, and Training.
Energy Services Act Amendment 2015Energy audit by December 5, 2015 for facilities with 250 EE and € 50 Million annual turnover. Alternative ISO 50001 energy management system
EU –SEVESO III Aligned with CLP Regulation - Inspections annually for upper tier, every 3 years for lower tier, added heavy fuel oil
Europe Regulatory UpdatesGLOBAL EHS REGULATORY UPDATES
Directive on Hazardous Materials – Revised
The “Chemical Act” has been revised according to the EC Directives with a list of dangerous substances (e.g. white spirit and solvent naphtha)
Industrial Emission Directive Implemented
Industrial Emission Directive (IED) is now implemented with a new Danish guidance (August 2014) trigger for Environmental Permits Best Avalable Techniques Reference (BREF) or Best Available Techniques (BAT) prior to commencement of activities intended or changes in production.
Denmark
New Guidelines on Dangerous Substances (PGS)
• PGS9; ‘Cryogenic gasses’ beside oxygen, add nitrogen, argon, carbon dioxide, helium and nitrous oxide with storage limit, safety distance, and spatial layout.
• PGS12; ‘Ammonia storage and handling’ storage of ammonia under pressure vessel required gas detection with alarm, placement of fire-fighting monitors instead of water hoses, and large scale alternative inspection based on risk-based inspection.
Netherlands
Latin America Regulatory UpdatesGLOBAL EHS REGULATORY UPDATES
Implication from most severe draught
• The southern portion of Brazil is going through the most severe draught in 80 years.
• New legislation has been drafted for rationing water and enforcement are taking place.
• Municipal water companies prioritizing domestic users over industrial users.
• Employers bear responsibility for the H&S implications, including food service (cafeterias), drinking water quality, on-site medical facility and practitioner awareness.
Recent reforms in Mexican government
During recent years the Mexican government has developed and approved significant “reforms” in Mexican legislation.
• Improve the competitiveness of the Mexican Industry.
32 States with independent agencies of their own for regulating air and water.
• Key Consideration for Permitting and Waste Management - Who’s in Charge?
MexicoBrazil
Africa Regulatory UpdatesGLOBAL EHS REGULATORY UPDATES
Waste Management
• National Environmental Management: Waste Amendment Bill amendments and new insertions of schedule defining wastes categories.
• Hazardous waste includes hazardous substances, materials or objects at business waste, residue deposits and residue stockpiles.
• General Waste, includes domestic waste, building and demolition waste, inert waste, any non-hazardous waste
Atmospheric Emissions Inventory System starts in 2015
Report via the Department of Environmental Affairs’ (DEA) National Atmospheric Emissions Inventory System (NAEIS), including
• Emissions under licence, Greenhouse Gas emissions, Emissions with set limit, Fugitive emissions
• Certain production information required to be disclosed
South Africa
Asia/Pacific Regulatory UpdatesGLOBAL EHS REGULATORY UPDATES
Energy Efficiency Program 2005 -2015
• Major Energy Users - consume energy at the equivalent of 1,000 tons of oil annually
• Develop annual and 5-year energy efficiency plans
• Diversify energy sources - Minimize dependence on oil
GHS System in effect from March 2014
• Globally Harmonized System Classification and Labelling of Chemicals
• All labels are required to be written in Vietnamese
Guideline for Developing Env. Documents
Environmental Impact Analysis (AMDAL), Environmental Management Efforts and Environment Monitoring Efforts (UKL-UPL) and Environmental Management Statement (SPPL)
Program for Pollution Control, Evaluation and Rating (PROPER)
Environmental performance of companies is mapped into 5-colour grading scale, Gold (Excellent), Green (Very Good), Blue (Good), Red (Non-Compliance, Black (Cause Environmental Damage)
Vietnam Indonesia
Regional Updates
Country Updates:
China
India
“Under the Dome”
A documentary video, >155 million views just one day after its release.
Combustible Dust Explosion Accident
Kunshan, Jiangsu, August 2, 2014 – 146 deaths, 114 injured and direct economic loss USD 60 million
Litigation Case with Sky-high cost of Penalty
Taizhou, Jiangsu, December 2014
National Soil Pollution Situation Investigation Report
Published on April 17, 2014, issued by MEP MLR
Recent News in ChinaGLOBAL EHS REGULATORY UPDATES: CHINA
Regulatory TrendsGLOBAL EHS REGULATORY UPDATES: CHINA
4. Chemical Management
3. Occupational Disease Prevention Law Amendment
5. EHS Supervision
2. Production Safety Law Amendment
1. Environmental Protection Law Amendment
Potential ImpactGLOBAL EHS REGULATORY UPDATES: CHINA
Environmental Health and Safety
• Costs increase for non-compliances
• General push to promote cleaner energy sources -greater incentives for using cleaner technologies -opportunities for foreign companies selling environmental technologies into the China market
• Violation Costs Increase• Greater Safety Production
Responsibility for Enterprises• Higher Requirements for
Safety Production Management Work of Enterprises
• Close Relationship Between Corporate Image and Workplace Safety
Best Management PracticesGLOBAL EHS REGULATORY UPDATES: CHINA
Good planning toward
sustainable and green production
Selection of advanced
technologies with low emission
Consideration of cleaner
production, conservation,
including water reuse
Choose/Move to right industrial
parks
Regional Updates
Country Updates:
China
India
Update on EHS RegulationsGLOBAL EHS REGULATORY UPDATES: INDIA
Major Amendments in EHS Regulations
Tamilnadu Factories Rules Punjab Factories Rules Indian Electricity Rules
• Rule 61 (10) – First aid firefighting arrangements was amended
• Rule 61 (11) – Water supply for fire-fighting adopted new method
• Rule 61 (15) – Plan of fire fighting installations to be submitted to Inspector of Factories, State Fire Director and local authority
• Rule 3A - Approval of Plans – amended with additional information
• Rule 4 - Certificate of Stability – amended signed by a competent person and fresh certificate for every five-years period
• Newly introduced – Central Electricity Authority (Measures relating to Safety and Electric Supply) Regulations, 2010 thereby replacing the Indian Electricity Rules, 1956
H I G H L I G H T S
• Debriefing to the plant top management to highlight the key issues.
• Risk Radar for each plant to give a snapshot of its Safety Management System.
• Re-assessment of the plants after a period of 4 to 6 months to check the compliance status
O V E R V I E W
One of the leading automobile manufacturers in India embarked on a journey of assessing and improving the Safety Management System of its Tier 1 Auto Component Suppliers by carrying out Safety Audits.
Case Study: EHS Status of ManufacturersGLOBAL EHS REGULATORY UPDATES: INDIA
We find about 30% improvement in Risk Ranking score after the re-assessment!
EHS: Challenges and SolutionsGLOBAL EHS REGULATORY UPDATES: INDIA
EHS Challenges in India
• Lack of Industry-wide guidelines on EHS -HSE is driven by automobile suppliers as requirement from Automobile Industry
• Lack of awareness of EHS requirements -Minimum focus given for EHS during the plant design stage
• Regulators are not taking strict actions against Statutory Non-Compliances -Industries are waking up only when there is a major incident
• Certification of the Safety Management System is not a mandatory requirement
• Industries generally do not have in-house EHS expertise available
Solutions for India Auto Industries
• Developing Industry-wide EHS Guidelines and Manual, KPIs for EHS benchmarking, annual awards for automobile component industries.
• Cluster level workshops (national/ local level) to promote EHS awareness through industrial organizations such as Automobile Component Manufacturing Association.
• Training / Certification programs for automobile component Industry workforce and supply chain.
• Initiative to help the Automobile component/suppliers industries get EHS related certification.
B E T T E R B U S I N E S S , B E T T E R WO R L D℠
Eric Wu, PEAntea GroupO: [email protected]